In advancing our mission to change the trajectory of health for humanity, we have always sought to attract the best and brightest minds. A key tenet of Our Credo is to respect our employees and provide equal opportunity for employment, advancement and development. Guided by Our Credo values, we are also committed to provide fair and adequate compensation.
At Johnson & Johnson, our goal is to attract, develop and retain employees who can drive financial and strategic growth objectives and build long-term shareholder value. To achieve these goals, we design our compensation programs using the following principles:
We compare and benchmark our practices against appropriate peer companies so we can continue to attract, retain and motivate high-performing employees.
Pay for Performance
Base salary increases, annual bonuses and grants of long-term incentives are tied to performance, including the performance of the individual and his or her specific business unit or function, as well as the overall performance of our company.
Accountability for Short- and Long-Term Performance
We structure performance-based compensation to reward an appropriate balance of short- and long-term financial and strategic business results, with an emphasis on managing the business for long-term results.
Alignment to Shareholders’ Interests
We structure performance-based compensation to align the interests of our employees with the long-term interests of our shareholders.
With these guiding principles in mind, our global compensation practices promote fairness across our employee base and business levels commensurate with professional experience and ongoing individual performance. Accountability for compensation and remuneration is held by our Human Resources function, led by our Executive Vice President, Chief Human Resources Officer, who is a Corporate Officer and member of the Johnson & Johnson Executive Committee.
We are committed to pay equity, including gender pay equity. We conduct pay equity analyses across functions and levels; reviewing hiring and promotion processes and procedures to reduce any potential unconscious bias or structural barriers; and embedding equal pay efforts into broader enterprise-wide equity initiatives. We take these steps as well as identify and promote other best practices to ensure fundamental fairness for all employees. For more information on executive compensation and stakeholder input into remuneration, please see the Johnson & Johnson 2017 Proxy Statement. At this time, non-executive employee compensation data are considered confidential. GRI 102-38; 102-39; 202-1 In 2016, we were one of several companies signing the White House Equal Pay Pledge.
GRI 102-35 through 102-39; 405-2